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HomeMy WebLinkAboutC.054.93011_1774 (2)BE IT RESOLVED by the Board of Commissioners for the County of Iredell, North Carolina (the "County'): Section 1, The Board of Commissioners does hereby find, determine and declare as follows: (a) The County proposes to finance (i) the expansion of Celeste Henkel Elementary School, including the replacement of existing classrooms and the construction and equipping of additional classrooms, a new administration area and a media center, (ii) the construction and equipping of a new 950 -student elementary school, including the acquisition of land therefor, (iii) the expansion of East Iredell Elementary School, including the construction and equipping of additional classrooms and resource rooms, a media center and administration area and the reconfiguration of existing classrooms, (iv) the construction and equipping of a new elementary school to replace two existing elementary schools, (v) the expansion of Shepherd Elementary School, including the construction and equipping of additional classrooms and resource rooms, (vi) the expansion of South Iredell High School, including the construction of additional classrooms, a new gymnasium and locker rooms and a media center, (vii) the expansion of Statesville High School, including the construction and equipping of additional classrooms and resource rooms, a new administration area and a media center, the renovation of existing classrooms, and related site work, (viii) the construction and equipping of a new 750 -student elementary school, and (ix) the conversion of the existing Mooresville Intermediate School to a new middle school, including the construction of additional classroom space, the renovation of existing space and the construction of new athletic facilities, including a baseball field, tennis courts, a football stadium and related bathroom facilities (collectively, the "Project'), pursuant to an installment financing agreement, to be dated as of March 1, 2008 or such other date as the parties thereto shall mutually agree upon (the "Installment Financing Agreement'), between the County and Iredell County Public Facilities Corporation (the "Corporation') and the County will make Installment Payments (as defined in the Installment Financing Agreement) in amounts sufficient to pay the principal and interest with respect to the Certificates of Participation (Iredell County School Projects), Series 2008 (the "2008 Certificates') to be executed and delivered by the Corporation to finance the Project, it being the express intention of the Board of Commissioners that only the principal amount of 2008 Certificates necessary to accomplish the purposes stated in the Installment Financing Agreement will be executed and delivered (estimated not to exceed $115,000,000). (b) The Project is necessary in order to provide public school facilities essential to the public health, safety and welfare of the citizens of the County. (c) Based on advice from the County's investment bankers as to current tax-exempt interest rates, the sums to fall due under the Installment Financing Agreement are not excessive for its stated purposes; moreover, the estimated cost of the Project is not excessive. (d) Counsel to the County has rendered an opinion that the proposed undertakings are authorized by law and are purposes for which public funds may be expended pursuant to the Constitution and laws of the State of North Carolina. (e) The Installment Financing Agreement, under the circumstances presently obtaining, is preferable to a general obligation bond issue for this purpose. The County's current fund balance is, in light of other requirements and prudent fiscal management, insufficient to fund the entire cost of the Project, the County does not have the ability to issue sufficient non - voted bonds under the provisions of Article V, Sec. 4 of the North Carolina Constitution for the purposes of financing the Project, and voting general obligation bonds for this purpose will result in unacceptable delay and additional cost to the County. (f) The estimated cost of f naneing the Project pursuant to the Installment Financing Agreement compares reasonably and favorably with an estimate of similar cost for general obligation bond financing therefor. The primary difference in cost results from higher issuance costs, but this amount is insignificant when compared to the total cost offnancing the Project. (g) The debt management policies of the County have been carried out in strict compliance with law, including the filing of all required audits and reports with the Local Government Commission (the "LGC'), and the County is within its statutory debt limit and is not in default with respect to any of its outstanding indebtedness. (h) The County estimates that no increase in the property tax rate will be required to raise sums to pay the estimated debt service to fall due under the Installment Financing Agreement for all of its stated purposes. (i) The County has made timely payment of all sums owed by it with respect to the payment of principal of and interest on all of its outstanding debt obligations and has received no notice from the LGC or any holder concerning the County's failure to make any required payment of debt service.